District cooling firm Empower reduces fuel surcharge on electricity and water for its customers

Move is expected to benefit more than 140,000 customers and reduce charges by Dh48m a year

Properties in Dubai. Satish Kumar / The National

Dubai-based district cooling provider Emirates Central Cooling Systems Corporation (Empower) said it will start reducing fuel surcharge on electricity and water for its customers in line with the directives of the government.

The move is expected to benefit more than 140,000 customers and reduce district cooling charges by more than Dh48 million ($13m) a year, it added.

Empower provides district cooling services to homes and commercial buildings, shopping centres, hospitals and schools with a total cooling capacity of 1,530,000 refrigeration tonnes.

The company said master developers, owners, and end-users can benefit from the reduction in charges.

Sheikh Ahmed bin Saeed Al Maktoum, chairman of Dubai Supreme Council of Energy, last month announced plans to reduce the fuel surcharge for electricity and water.

Fuel surcharge for electricity was reduced to 5 fils for kilowatt hour from 6.5 fils and for water, it was reduced to 0.4 fils for imperial gallon instead of 0.6 fils currently starting from December 1, Wam reported last month.

Empower also said it is ready to increase the share of renewable and clean energy in Dubai's energy mix as per the directives of Sheikh Mohammed bin Rashid, Vice President and Ruler of Dubai.

Dubai aims to generate 25 per cent of its energy requirements from renewable sources by 2030 and 75 per cent by 2050 as part of its clean energy drive.

Set up in 2003, Empower is a joint venture between Dubai Electricity and Water Authority (Dewa) and Tecom Investments.

Earlier this year, it awarded contracts worth Dh190 million to construct a new district cooling plant in the Business Bay area of Dubai.